Recap: We tried two different shorts yesterday on two different support breaks, both of which were closed out for very small losses (5 pips and 15 pips for a 20 pip loss on this pair) after they closed above the support (false breaks). Keep your losses small and let your profits run :).
Today's Important News Events:
|01:30||AUD Employment Change (MAR)||6.5K||-15.4K|
|01:30||AUD Unemployment Rate (MAR)||5.3%||5.2%|
|05:30||EUR French Consumer Price Index (MoM) (MAR)||0.6%||0.4%|
|05:30||EUR French Consumer Price Index (YoY) (MAR)||2.1%||2.3%|
|08:00||EUR ECB Publishes April Monthly Report|
|*To see a more extensive list of news events (not just those we consider important), visit our Forex Calendar.|
EU continues to slowly consolidate in an upward channel after dropping nearly 400 pips from 1.34 and bouncing hard off of 1.30. While we are ultimately bearish on the pair, technically, the devil is always in the details and the timing of the trade remains a question. We can't rule out a higher consolidation 1.33 or even another challenge to 1.34 so we will continue to trade the shorter term S/R lines with a leaning to shorts.
Trading Idea: We will try our short again on a clear break with targets at 20/20/25/25 for 90 pips profit. On a break we will look to close and get long on a resistance break (if one forms) as long as price stays above 1.3050.